Arabic (عقود التوثيق) for documentation contracts (contracts of security/ guarantee). Under shari’ah (Islamic law), accessory/ subordinate contracts are contracts (uqud/ pl. of aqd) which do not exist by their own and are not independent of other contracts. These contracts do require the existence of another contract (other contracts) as a perquisite for them to come into existence. The essential purpose of such contracts is documentation and safeguarding of contractual rights.
Examples of uqud al-tauthiq include rahn (collateralization), kafalah (suretyship), hawalah (assignment/ transfer of debt), and wakalah (agency or proxy).
Comments